By: Staff Writer

October 27, Colombo (LNW): Dialog Axiata PLC has further strengthened its position as Sri Lanka’s telecommunications leader by expanding its 5G trial network across 15 districts, reaffirming its role in advancing the nation’s digital transformation. The company now operates the country’s largest 5G trial infrastructure, offering thousands of users across urban and rural areas the opportunity to experience next-generation connectivity.

The 5G trial network now spans Colombo, Gampaha, Kalutara, Kandy, Kurunegala, Puttalam, Anuradhapura, Nuwara Eliya, Galle, Matara, Batticaloa, Ampara, Trincomalee, Jaffna, and Kilinochchi, with further expansion planned. This extensive coverage provides the foundation for future commercial 5G deployment and supports Sri Lanka’s ambition to position itself as a digitally empowered economy.

Since conducting South Asia’s first 5G demonstration in 2018, Dialog has consistently remained at the forefront of technological innovation. The company has achieved multiple milestones, including Sri Lanka’s first 5G Standalone (SA) network trial and the introduction of Voice over 5G (VoNR) on a live network demonstrating its readiness for full-scale 5G implementation once regulatory approvals are granted.

Commenting on the expansion, Dialog Axiata Group Chief Technology Officer Ranga Kariyawasam said the move marks a major step forward in shaping the nation’s digital future. “Extending our 5G trials across the country underscores our commitment to empower individuals, businesses, and communities through advanced technology,” he said. “As Sri Lanka’s most advanced and fastest 5G-ready network, we continue to invest in innovation that enables progress in the digital economy.”

The expansion not only highlights Dialog’s technological leadership but also aligns with Sri Lanka’s broader national strategy to enhance digital infrastructure and connectivity. With ultra-low latency, high-speed data transfer, and improved reliability, 5G technology promises transformative impacts across multiple sectors—including entertainment, education, healthcare, manufacturing, and enterprise operations.

Industry experts note that 5G is expected to revolutionize how Sri Lankans connect, work, and innovate, paving the way for smart cities, remote education, telemedicine, and industrial automation. As the nation moves toward greater digital integration, Dialog’s proactive investments in infrastructure are seen as a vital component in realizing these ambitions.

Dialog Axiata, a subsidiary of Axiata Group Berhad of Malaysia, remains committed to expanding its technological footprint and accelerating Sri Lanka’s readiness for a fully connected future. With its continued focus on digital inclusion and innovation, the company aims to deliver world-class experiences that support the nation’s journey toward becoming a competitive, technology-driven economy.

By: Staff Writer

October 27, Colombo (LNW): SriLankan Airlines has once again come under public scrutiny as the national carrier reported a Group loss of Rs. 2.73 billion for the 2024/25 financial year, reversing the Rs. 7.9 billion profit recorded in the previous year. The loss, largely masked by a one-off exchange gain in 2023/24, underscores the airline’s deep-rooted financial and administrative troubles — issues that continue to challenge its long-term sustainability.

According to the airline, the apparent profit in the previous financial year was mainly due to a substantial foreign exchange gain of Rs. 26.7 billion, which fell sharply to Rs. 3.9 billion in 2024/25 as the Sri Lankan rupee stabilized. Excluding these accounting adjustments, the Group’s operational loss widened to Rs. 6.66 billion, revealing persistent inefficiencies in cost management, high debt servicing, and weak revenue growth amid mounting competition from regional carriers.

The airline’s debt burden remains staggering estimated at over USD 1 billion including unpaid loans to state banks and overdue fuel bills to the Ceylon Petroleum Corporation. Industry analysts point out that the absence of meaningful restructuring has left SriLankan Airlines vulnerable to liquidity crises, with limited flexibility to modernize its aging fleet or expand profitable routes.

Despite several calls from the International Monetary Fund (IMF) and the Treasury for a comprehensive restructuring, the government has opted to keep the airline under state control. Officials argue that strategic state oversight is necessary to maintain national connectivity and protect the thousands of employees whose livelihoods depend on the carrier. However, critics claim this decision delays long-overdue reforms, including the possibility of attracting private investment and overhauling management practices plagued by inefficiency and political interference.

IMF program conditions explicitly call for the rationalization of state-owned enterprises (SOEs), including loss-making entities like SriLankan Airlines. The airline, once a flagship carrier in the region, has instead become a symbol of fiscal mismanagement, relying on Treasury guarantees and foreign borrowings to stay afloat.

Sources within the aviation sector say the airline’s administrative structure remains bloated, with overlapping roles, outdated procurement systems, and weak financial oversight. Attempts to restructure operations through staff rationalization and route optimization have stalled due to political resistance and employee union pressure.

Analysts warn that without decisive restructuring including debt write-downs, cost discipline, and professional management SriLankan Airlines risks remaining a persistent fiscal burden on the taxpayer. As IMF-led reforms gain momentum, the government faces increasing pressure to decide whether to reform, partially privatize, or continue subsidizing a carrier that has been flying through financial turbulence for over a decade.

By: Staff Writer

October 27, Colombo (LNW): The Committee on Public Enterprises (COPE) yesterday exposed serious concerns over the ownership structure and share allocations at Lanka Transformers Limited (LTL), a company originally created under the Ceylon Electricity Board (CEB) to support power sector operations but now operating as a privately held entity. The revelations have reignited debate over the blurred lines between state-owned and privatized enterprises in Sri Lanka’s energy sector.

LTL, incorporated in 1980, was formed as a joint venture between the CEB, which initially held a 70% stake, and a Scottish engineering firm owning the remaining 30%. Although established to manufacture transformers and electrical equipment for national utility projects, the company gradually transformed into a semi-private entity—raising questions about how public assets shifted into private hands over the decades.

COPE’s inquiry followed an earlier session in September, where concerns were raised about LTL’s connection to the CEB and the lack of transparency in its shareholding. The committee summoned LTL’s management to clarify how a portion of shares—originally allocated for employee welfare ended up being distributed among senior officials rather than the broader workforce.

During the hearing, COPE members questioned how 76% of the company’s shares, held under a trust, were transferred to 15 individuals, effectively consolidating control in a small group. LTL CEO Nuhuman Marikkar defended the distribution, claiming it was done legally at the company’s inception and that dividends have been consistently paid to these shareholders, including Chief Technology Officer H.D. Chaminda.

However, COPE members expressed strong concern that dividends from these shares were not returning to the public purse, despite LTL’s heavy dependence on CEB contracts and state resources. Given the company’s investments exceeding Rs. 10 billion, committee members demanded to know why public oversight mechanisms such as government audits—no longer apply to an entity originally established using public funds.

A tense moment arose when MP Chaminda Wijesiri questioned COPE’s authority to summon a private company. COPE Chairman Dr. Nishantha Samaraweera responded firmly, stating that LTL was being examined because of its direct link to CEB operations and public funds, adding that “when taxpayer money is involved, COPE has a duty to ensure accountability.”

The latest revelations have added fuel to ongoing controversy over the silent privatization of CEB-affiliated entities, where control gradually shifts to private hands without explicit government approval or parliamentary scrutiny. Analysts warn that such opaque transitions undermine public accountability and weaken the state’s control over critical infrastructure.

As COPE continues to probe LTL’s structure and funding, the investigation could set a crucial precedent for how quasi-private entities with state origins are governed potentially forcing a broader review of hybrid companies operating under the guise of privatization.